Heteroclinic and Periodic Cycles in a Perturbed Convection Model

Vivancos and Minzoni (New Choatic behaviour in a singularly perturbed model, preprint) proposed a singularly perturbed rotating convection system to model the Earth's dynamo process. Numerical simulation shows that the perturbed system is rich in chaotic and periodic solutions. In this paper, we show that if the perturbation is sufficiently small, the system can only have simple heteroclinic solutions and two types of periodic solutions near the simple heteroclinic solutions. One looks like a figure “Delta” and the other looks like a figure “Eight”. Due to the fast - slow characteristic of the system, the reduced slow system has a relay nonlinearity (“Asymptotic Method in Singularly Perturbed Systems,” Consultants Bureau, New York and London, 1994) - solutions to the slow system are continuous but their derivative changes abruptly at certain junction surfaces. We develop new types of Melnikov integral and Lyapunov-Schmidt reduction methods which are suitable to study heteroclinic and periodic solutions for systems with relay nonlinearity.     

Customization competition between branded firms: Continuous extension of product line from core product

We study a competition of product customization between two branded firms by a game-theoretic approach. Firms produce products with two attributes: one attribute indicates a characteristic with regard to “function” or “design” of a product and the other indicates “taste” or “flavor” of the product, which reflects consumers’ brand/taste preferences. Two branded firms have their own specific core products and our customization is defined as a continuous extension of their product line from the core product only along the “function” attribute. In particular, we allow asymmetric positions of core products, which may create the position advantage/disadvantage between firms. We suppose that consumers incur their selection costs with regard to finding their most favorable item among a rich variety of products and firms incur their customizing costs with regard to extending their product lines. We first show that in the equilibrium, branded firms should fundamentally adopt their customizations to cover the center space in the market as far as possible, regardless of the position of the competitor’s core product. Therefore, the position of the core product contributes to the creation of a competitive advantage: when one firm’s core product is located more closely to the center of the market than the competitor’s, its customization can always cover more range of the center space in the market, while keeping its degree of customization smaller than the competitor’s. Furthermore, we show some implications of unit-cost improvement: in a short run, a firm is better off concentrating on the improvement of the unit selection cost rather than the unit customizing cost. In contrast, in a long run, both firms can benefit from the improvement of the unit customizing cost.     

“Bricks-and-mortar” vs. “clicks-and-mortar”: An equilibrium analysis

The Internet has provided traditional retailers a new means with which to serve customers. Consequently, many “bricks-and-mortar” retailers have transformed to “clicks-and-mortar” by incorporating Internet sales. Examples of companies making such a transition include Best Buy, Wal-Mart, Barnes & Noble, etc. Despite the increasing prevalence of this practice, several fundamental questions remain: (1) Does it pay off to go online? (2) Which is the equilibrium industry structure? (3) What is the implication of this business model for consumers? We study these issues in an oligopoly setting and show that clicks-and-mortar arises as the equilibrium channel structure. However, we find that this equilibrium does not necessarily imply higher profits for the firms: in some cases, rather, it emerges as a strategic necessity. Consumers are generally better off with clicks-and-mortar retailers. If firms align with pure e-tailers to reach the online market, we show that a prisoner’s dilemma-type equilibrium may arise.     

An application of cooperative game among container terminals of one port

In this paper a two-stage game that involves three container terminals located in Karachi Port in Pakistan is discussed. In the first stage, the three terminals have to decide on whether to act as a singleton or to enter into a coalition with one or both of the other terminals. The decision at this stage should presumably be based on the predicted outcome for the second stage. The second stage is here modelled as a Bertrand game with one outside competitor, the coalition and the terminal in Karachi Port (if any) that has not joined the coalition. Furthermore, three partial and one grand coalition among the three terminals at Karachi Port are investigated. The concepts of “characteristic function” and “core” are used to analyse the stability of these coalitions and this revealed that one combination does not satisfy the superadditivity property of the characteristic function and can therefore be ruled out. The resulting payoffs (profits) of these coalitions are analysed on the basis of “core”. The best payoff for all players is in the case of a “grand coalition”. However, the real winner is the outsider (the terminal at the second port) which earns a better payoff without joining the coalition, and hence will play the role of the “orthogonal free-rider”.     

Representations of rational Cherednik algebras of rank one in positive characteristic

In this paper, we classify the irreducible representations of the rational Cherednik algebras of rank 1 in characteristic p>0. There are two cases. One is the “quantum” case, where “Planck's constant” is nonzero and generic irreducible representations have dimension pr, where r is the order of the cyclic group contained in the algebra. The other is the “classical” case, where “Planck's constant” is zero and generic irreducible representations have dimension r.     

Dollar vs. percentage markup pricing schemes under a dominant retailer

We investigate two very common pricing schemes for a Stackelberg-dominant retailer: percentage-markup and dollar-markup. We show that when a dominant retailer switches from dollar to percentage markup, the channel’s “overall pie” and the retailer’s “pie-piece” are both enlarged. In contrast, the manufacturer will be forced to levy a lower wholesale price, thus receiving a smaller pie-piece despite the larger pie. The preceding statements hold regardless of whether the demand is deterministic or stochastic. However, the effects of switching to percentage markup on the retail price and sales volume will depend not only on whether the demand is stochastic, but also on the assumed demand-curve shape and on whether demand stochasticity is “additive” or “multiplicative”. Besides presenting a comprehensive set of answers on the comparative performance of dollar- and percentagemarkups, our results also highlight the often overlooked importance of choosing between: (i) dollar- and percentage-markup; and (ii) the formats of the assumed stochasticity and demand curves.     

Hopf bifurcations in a reaction-diffusion population model with delay effect

A reaction-diffusion population model with a general time-delayed growth rate per capita is considered. The growth rate per capita can be logistic or weak Allee effect type. From a careful analysis of the characteristic equation, the stability of the positive steady state solution and the existence of forward Hopf bifurcation from the positive steady state solution are obtained via the implicit function theorem, where the time delay is used as the bifurcation parameter. The general results are applied to a “food-limited” population model with diffusion and delay effects as well as a weak Allee effect population model.     

Adverse selection or advantageous selection? Risk and underwriting in China’s health-insurance market

Using data from China’s individual health-insurance market, we study the problem of information asymmetry. Our preliminary results appear to contradict standard-model predictions, showing that higher-risk buyers are more likely to purchase “additional” insurance than lower-risk buyers, but that they also tend to purchase lower limits of “basic” insurance coverage. We therefore develop a theoretical model to capture the effects of buyers’ wealth levels and loss amounts, and show empirically that these effects, in the context of asymmetric information, lead to the coexistence of adverse selection and advantageous selection in China’s health-insurance market.     

The localized longitudinal index theorem for Lie groupoids and the van Est map

We define the “localized index” of longitudinal elliptic operators on Lie groupoids associated with Lie algebroid cohomology classes. We derive a topological expression for these numbers using the algebraic index theorem for Poisson manifolds on the dual of the Lie algebroid. Underlying the definition and computation of the localized index, is an action of the Hopf algebroid of jets around the unit space, and the characteristic map it induces on Lie algebroid cohomology. This map can be globalized to differentiable groupoid cohomology, giving a definition of the “global index”, that can be computed by localization. This correspondence between the “global” and “localized” index is given by the van Est map for Lie groupoids.     

Beginners’ progress in early arithmetic in the Swedish compulsory school

This article focuses on spontaneous knowledge-building in the field of “the arithmetic of the child.” The aim is to investigate the conceptual progress of fifteen children during their early school years in the compulsory school. The study is based on the epistemology of radical constructivism and the methodology of “multiple clinical interviews”. A model of “the arithmetic of the child” elucidates mental structures used by the child in solving problems. The individual interviews are video-recorded. The results show that the children's solutions are compatible with the model. When the researcher adapts problems to the children's available concepts to bring out their capability, they all solve them in their own ways. Further, the conceptual levels of the children differ to a great extent at school start and do not all show conceptual progress after 2 years of traditional teaching. An implication for an alternative teaching process is suggested, namely “the arithmetic for the child”, accomplished in a triadic teaching process.     

Meta-data envelopment analysis: Finding a direction towards marginal profit maximization

This paper discusses a new meta-DEA approach to solve the problem of choosing direction vectors when estimating the directional distance function. The proposed model emphasizes finding the “direction” for productivity improvement rather than estimating the “score” of efficiency; focusing on “planning” over “evaluation”. In fact, the direction towards marginal profit maximization implies a step-by-step improvement and “wait-and-see” decision process, which is more consistent with the practical decision-making process. An empirical study of U.S. coal-fired power plants operating in 2011 validates the proposed model. The results show that the efficiency measure using the proposed direction is consistent with all other indices with the exception of the direction towards the profit-maximized benchmark. We conclude that the marginal profit maximization is a useful guide for determining direction in the directional distance function.     

Competitive facility location model with concave demand

We consider a spatial interaction model for locating a set of new facilities that compete for customer demand with each other, as well as with some pre-existing facilities to capture the “market expansion” and the “market cannibalization” effects. Customer demand is assumed to be a concave non-decreasing function of the total utility derived by each customer from the service offered by the facilities. The problem is formulated as a non-linear Knapsack problem, for which we develop a novel solution approach based on constructing an efficient piecewise linear approximation scheme for the objective function. This allows us to develop exact and α-optimal solution approaches capable of dealing with relatively large-scale instances of the model. We also develop a fast Heuristic Algorithm for which a tight worst-case error bound is established.     

Conservative allocation models for outbound containers in container terminals

This paper examines location assignment for outbound containers in container terminals. It is an extension to the previous modeling work of Kim et al. (2000) and Zhang et al. (2010). The previous model was an “optimistic” handling way and gave a moderate punishment for placing a lighter container onto the top of a stack already loaded with heavier containers. Considering that the original model neglected the stack height and the state-changing magnitude information when interpreting the punishment parameter and hid too much information about the specific configurations for a given stack representation, we propose two new “conservative” allocation models in this paper. One considers the stack height and the state-changing magnitude information by reinterpreting the punishment parameter and the other further considers the specific configurations for a given stack representation. Solution qualities for the “optimistic” and the two “conservative” allocation models are compared on two performance indicators. The numerical experiments indicate that both the first and second “conservative” allocation models outperform the original model in terms of the two performance indicators. In addition, to overcome computational difficulties encountered by the dynamic programming algorithm for large-scale problems, an approximate dynamic programming algorithm is presented as well.     

Service and cost benefits through clicks-and-mortar integration: Implications for the centralization/decentralization debate

Traditional “Brick-and-Mortar” operations face the challenge of adapting to a new set of competitive rules made necessary by consumers who want the option of ordering electronically via the Internet. To satisfy these customers, firms must develop strategies that integrate their standard retail in-store channel with this relatively new on-line channel. Therefore, this research is designed to provide insights into supply chain inventory management strategies relevant to “Clicks-and-Mortar” firms trying to satisfy both on-line and in-store sales. Specifically, this work considers the total cost implications of various inventory allocation strategies while maintaining target customer service levels. Analysis focuses on the development of models capable of handling new operating strategies made possible by electronic commerce. The implications of inventory risk pooling are considered in depth, revealing the existence of characteristics that determine whether completely centralized or decentralized policies are preferable.     

On zeros of characteristic p zeta function

The location and multiplicity of the zeros of zeta functions encode interesting arithmetic information. We study the characteristic p zeta function of Goss. We focus on “trivial” zeros and prove a theorem on zeros at negative integers, showing more vanishing than that suggested by naive analogies. We also compute some concrete examples providing the extra vanishing, when the class number is more than one.Finally, we give an application of these results to the non-vanishing of certain class group components for cyclotomic function fields. In particular, we give examples of function fields, where all the primes of degree more than two are “irregular”, in the sense of the Drinfeld-Hayes cyclotomic theory.     

A model evaluating effect of disaster warning issuance conditions on “cry wolf syndrome” in the case of a landslide

This study proposes a model that clarifies how disaster warning issuance conditions affect “cry wolf” syndrome. The disaster assumed in this study is landslide caused by heavy rainfall. Local authorities that issue disaster warnings are thought to tend to avoid the situation where casualty occurs without the issuance to residents of a disaster warning. As a result, the issuance conditions may be relaxed. Under this circumstance, however, the residents are thought to tend to ignore disaster warnings, since such warnings are inaccurate. Thus may emerge the “cry wolf” syndrome. In this study, a simulation model that expresses the behaviors of the local authority and the residents has been developed. For the purpose of demonstrating the model, numerical experiments were then carried out. In the numerical experiments, the effects of optimal issuance conditions for disaster warnings on the cost incurred by the resident were evaluated by using assumed parameters for the model.     

An outranking-based general approach to solving group multi-objective optimization problems

This paper presents a general approach to solving multi-objective programming problems with multiple decision makers. The proposal is based on optimizing a bi-objective measure of “collective satisfaction”. Group satisfaction is understood as a reasonable balance between the strengths of an agreeing and an opposing coalition, considering also the number of decision makers not belonging to any of these coalitions. Accepting the vagueness of “collective satisfaction”, even the vagueness of “person satisfaction”, fuzzy outranking relations and other fuzzy logic models are used.     

The evolution of the mass of a “preserved” chemical spill as it moves with the river current

A quantitative model describing the process of turbulent diffusion of the liquid mass of a chemical spill as it moves with the river current is constructed. The model contains a representation of the tensor components of the turbulent diffusion coefficients in terms of the initial parameters of the problem – the breadth and depth of the water flow in the river and the average flow velocity. According to the model proposed, the process consists of three stages: the initial, rapid stage, in which, owing to turbulent diffusion along the vertical coordinate, the pollutant concentration distribution evens out along this coordinate; the intermediate stage, in which, because of turbulent diffusion along the horizontal coordinates, the concentrations are likewise evened out along the horizontal coordinate transverse to the river channel; and the third, longest and slowest stage, in which quasi-one-dimensional turbulent diffusion occurs along the longitudinal (channel) coordinate, describing the “spreading” of the chemical slick (volume) carried downstream. Simple explicit formulae are obtained for a quantitative estimation of the characteristic pollutant concentrations at the end of the first and second stages and their “attenuation” with increasing distance as the chemical slick drifts with the current, and also the increasing longitudinal dimension of the slick with distance downstream.     

Study on ride comfort of tractor with tandem suspension based on multi-body system dynamics

The aim of the paper is to report a systematic methodology which is used to evaluate and improve the ride comfort. An accurate model is necessary for further investigation and optimization. The vehicle dynamics model of tractor with tandem suspension is modeled and simulated in dynamics software ADAMS, which is redeveloped to add a function of automatic parametric modeling and simulation. The modeling methods of nonlinear characteristic components and various road excitation inputs, which can be simply seen as the implementation means for the model solution, are introduced. A new index called annoyance rate is presented to indicate the quantitative correlation between objective method and subjective comment. The quantitative correlation between them, which is quite different from the qualitative “comfortable” or “uncomfortable” results attained by objective evaluation, can be defined by function and regarded as a basis to scientifically evaluate and improve the ride comfort. According to the request of performance-based design, the parameter sensitive analysis and structure optimization have been carried out to find the trade-off among ride comfort, maneuverability and safety. The approach has proved to be very effective for predicting and improving the ride comfort by experiment results. The methodology can be also used for any other specific category of vehicle.     

Usefulness of resale price maintenance under different levels of sales-effort cost and system-parameter uncertainties

This paper on “resale price maintenance” (RPM) has three main parts:

(i)

Using a simple and parsimonious model, we show that even with only one retailer, a “supplier” or “manufacturer” (hereafter “Manu”) should impose minimum-RPM under some circumstances but maximum-RPM in others. These two sets of circumstances are defined by a very simple formula.